In news today, the Australian grocery cartel comes out in support of the Australian banking cartel.
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Australian Retailers Back Banks' Right to Negotiate With Apple
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Apple - say no to negotiations and deny Apple Pay. That will teach the ruddy banks of Oz.
If the Bank had a product that was as easy to use as Apple Pay I wouldn't be complaining. They haven't.
I have a feeling the tides they are a changing. A bigger bully has come in to shake them up, much like they've done to us for years.
If Apple offers hardware access to the NFC hardware in its current form, it would probably lose its EMVCo certification for Apple Pay. Apple went to a lot of effort to be certified at a card present level equivalent to full chip and pin (and thus is limited by your daily transaction limit).
Allowing other Applets would mean downgrading Apple Pay to the same scope/standard as pay wave / pay pass which is capped at around USD $ 50-100 per transaction in most countries.
Apple can't possibly pay for every bank in the world to be certified in conjunction with Apple Pay on the device, and EMVCo certification may not be something a bank wants to do. The Australian banks have tried to shut out MasterCard and Visa from the Australian market previously with their "Bankcard" consortium.
My best guess is Apple's current implementation is based on hardware they don't intend to keep in the product line. As the NXP chipset duplicates functionality in the SEP, I can see Apple wanting to eventually migrate to their custom chipset.
Note that Apple does not give anyone access to NFC under any circumstances , even for functionality that does not compete with ApplePay (eg access control systems). Nor do they give raw access to GPS, Bluetooth, Ethernet , Wifi or Cellular to any 3rd party.
I don't think the Australian Banks have a leg to stand on here.
Same here in the UK, but we still have Apple Pay just fine.
Apple is quite far from having a monopoly on smartphones so there is no viable or reasonable reason to force them to share whatever others want.
The banks should just design a NFC pay app for Android (I don't know if Google allows this but they on the other hand should be forced to allow this because they have a near monopoly) and do the best they can and the consumers will choose to either ditch Apple, ditch the bank or simply not care.
The banks should just design a NFC pay app for Android (I don't know if Google allows this but they on the other hand should be forced to allow this because they have a near monopoly) and do the best they can and the consumers will choose to either ditch Apple, ditch the bank or simply not care.
ApplePay doesn't require an app. How simpler or convenient could it get?
And neither would BankPay, if Apple opened up it's NFC.
Instead Apple opened up iMessage so 3rd parties could develop stickers, great.
Yeah, I guess, if you only have one card. But, having a Best Buy card, a Shell card for gas, Wal Mart card, Target card, Visa card, Bank America card and a Chase card......I dont want to have to put 7 apps on my phone because each card wants to have their own access to NFC and "enhance my customer experience" with their own payment app. No thanks. Thats far from being as easy as loading all seven cards into Apple Pay once and then bringing up Apple pay and scanning my finger. Done and done. Its no contest. Oh and Target was just hacked so do we really want to trust that these places will have a secure app??? I KNOW Apple Pay is secure, but instead of being able to just use it, I have to load Wal Marts stupid app on my phone and search out the app when I go to store, open it, bring up some qr code, and whatever else I have to do to pay with their "great" app. Come on!! Oh and hope like hell their crummy payment system doesnt get hacked. Very convenient? Very easy? Not on this side of the pond.
This is such a BS argument. If Apple "opens up" its NFC, it has no security advantage. The whole damned point is that it is more secure by NOT being open. Let's just call it what it is... PROTECTIONISM.
I already use my bank's app and have done for years.
Right now, Australians are loosing either way. They can't use Apple Pay or bank apps, so I'd rather just be able to use the NFC chip. Apple Pay would be relatively inconvenient for me, I use my bank app every time I use my card anyway, so I'd have to swap from Apple Pay to my bank app anyway.
No one is forcing you to use a third party app. The aussie banks are not going to sign up for Apple Pay in the near future, so I'd rather an alternate solution.
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Inconvenient for me, I move my money around and check balances before making a purchase. Apple Wallet is an App, and having to use two systems to pay for stuff (apple pay and my bank's app) is less convenient than Apple Pay.
Australian retail giant Coles, the Australian Payments Clearing Association (APCA), and the Australian Retailers Association have all expressed their support to allow some of the country's banks to collectively negotiate with Apple over access to its NFC-based digital payment technology (via ZDNEt).
Last month, Commonwealth Bank, National Australia Bank (NAB), and Westpac lodged a joint application with the Australian Competition & Consumer Commission (ACCC) to negotiate with Apple because they want to be able to use digital wallets they have already financed and developed, rather than be tied into using just Apple Pay.
Apple lambasted the banks over the application, and last week the request was denied by the ACCC to give the antitrust regulator more time to consult and consider the views of all the parties involved.
However, in a letter of support sent to the ACCC, retailer Coles argued that giving the banks the ability to negotiate with Apple will enhance the experience for customers, as well as improve the transparency of costs related to credit card processing fees.
The APCA also backed the banks, claiming enabling them to negotiate will encourage greater innovation and enhance competition in the payments markets, and ultimately deliver benefits to consumers and merchants.
"We consider that the exclusivity and restrictions on access to platforms and functionality, by contrast, may tend to stifle innovation and competition," it said.
Meanwhile, retail body ARA argued that if Apple allowed the banks to put their mobile banking apps onto the iPhone, it would give consumers the option to choose.
"We would like to see all customers have a choice of mobile wallets and payment services using the mobile phone they already have and the bank debit and credit cards and loyalty cards they already use," the ARA wrote.
PayPal also wrote to the ACCC, but rather than endorsing the banks' request for negotiations, it said the original application's definition of "mobile wallet" was too broad. The digital payments giant also wrote that the APCA's voluntary Third Party Digital Wallet Security Industry Guidelines should not be mandated without open discussions on standards.
Apple's opinion on the matter remained the same: the company believes the original application shows the banks want to maintain complete control over their customers and blunt Apple's entry into the Australian market.
Article Link: Australian Retailers Back Banks' Right to Negotiate With Apple
[doublepost=1472040137][/doublepost]Easy fix guys, switch to ANZ
Apple doesn't owe you free things. They are a business, not a charity.
That's exactly what I did here in the US.
My credit union was steadfastly refusing to offer Apple Pay. So after 20 years with them I reluctantly jumped ship to Bank of America.
Best move I ever made. Seriously. And not just because of Apple Pay.
You can call it whatever you want THE FACT IS ... Apple wants into the Bank's business model and they want to be paid for doing so ... and the banks are saying NOPE.
I'm sure the banks are chorusing loudly in their boardrooms
Aotearoa, rugged individual
Glisten like a pearl, at the bottom of the world
The tyranny of distance, didn't stop the cavalier
So why should it stop me, I'll conquer and stay free
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When did you conduct your survey that concluded what most people want and what was your methodology? And I find it hard to believe that people would prefer having to navigate to a specific bank app to do a transaction over a centralized wallet that requires not opening any app at all. I call BS.
Ultimately it's the consumer who pays (and every consumer, not just users of Apple Pay). Retailers will simply pass on the costs by raising prices (or not discounting so heavily).
I never claimed anything like you said. What I did say is that plenty of people seem content with the security of plastic cards today.
Because the majority of people use plastic cards today and seem more than happy to do so - so why would an equivalent risk in a bank app be an issue?
You wouldnt use two systems. You would use Apple pay. Your actually making my point for me. Your are right, having each business/financial institution having their own payment system and having to switch between them and use different ones, as opposed to being able to just use one for all of them is indeed not convenient. Hence my position on just using Apple pay. You bring up Apple wallet and apple pay. They are two different things. Apple pay IS NOT A APP. When you pay for something you merely hold your phone by the terminal and a light comes on and your done....thats it. Not sure why you bring up Apple wallet. Thats something different and doesnt apply with what we are talking about.
Everyone who banks, checks their balance and makes transfers so not sure what your point is there. I guess, as I said, if you only have one banking card, and no store cards, no credit cards,no gas station cards, and while you are standing in line to make a purchase, you choose to use that time to check and see if you have money in your account so your already in your banking app...........then yes........your right.......for you, Apple Pay probably isnt a good fit.
Owe me free things? Oh so the mighty apple 'owns' the NFC chip in my iPhone that I bought with my own money?
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The point is that I'd rather pay using my Bank's own app, as I do all my banking through one bank.
The highest connivence for me would be the ability to pay straight from my bank app. I am not speaking on other's behalf.
Right now i have the ability to do neither, because Apple refuses to open up an API for the NFC chip, as it means they miss out on revenue, and the banks refuse to use Apple pay as they also miss out on revenue.
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Easy fix would be Apple allowing access to the NFC chip. Would help in many ways, not just banking.
An even easier fix would be for Apple to offer Apple Pay for free to iPhone owners (i.e. NO surcharge to the banks) similarly to how it handles it's other proprietary software like iMessage and FaceTime ... done.
Start lobbying Apple now.